Eurozone private sector activity hits 5-month high

Private sector activity in the Eurozone increased in July at a much faster rate than expected, reaching its highest level in five months after the composite PMI, prepared by S&P Global, crossed the 50-point threshold for the first time since March, indicating economic growth. This improvement was driven by Germany, where the index significantly surpassed expectations with an unexpected jump, and France, where the downturn slowed to its lowest level since February. However, escalation in the Iranian conflict may again pressure sentiment and impact future growth.

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